PUNJAB MANDI BOARD Vs. STATE OF PUNJAB

JUDGEMENT

(1.) THIS petition filed under Article 226 of the Constitution prays for quashing order dated 27.9.2004, passed by the Additional Secretary to Government of Punjab, Department of Agriculture, Chandigarh (P-7), whereby the revision petition filed by the Food Corporation of India-respondent No. 2 (for brevity, 'the Corporation'), under Section 42 of the Punjab Agricultural Produce Markets Act, 1961 (for brevity, 'the Act'), has been allowed by setting aside order dated 18.7.2003 (P-6), passed by the Appellate Authority i.e. Secretary, Punjab State Agricultural Marketing Board, Chandigarh (for brevity, 'the Board'). The Appellate Authority, vide its order dated 18.7.2003 (P-6), while allowing the appeal preferred by the Corporation under Section 40 of the Act affirmed Resolution No. 96, dated 16.1.2002, passed by the Market Committee, Khanouri, District Sangrur, raising demand of Rs. 28,43,664.50 paise on account of demurrage charges from the Corporation for non-lifting of wheat stock by it during Rabi Season 2000-01, which remained lying in the main yard of the Market Committee, Khanauri.

(2.) BRIEF facts of the case are that under Section 3 of the Act, the State of Punjab has constituted the Board to regulate purchase, sale, storage and processing of various agricultural produce and for establishment of markets for agriculture produce. Similarly, under the provisions of Sections 11 and 12 of the Act, various Market Committees within the State of Punjab including Market Committee, Khanouri, District Sangrur, have been established.

(3.) FEELING aggrieved against notice dated 5.7.2000, the Corporation approached this Court by filing C.W.P. No. 10021 of 2001, which was disposed off vide order dated 29.11.2001, granting liberty to the Corporation to make necessary application under the provisions of the Bye-laws. A further direction was issued to dispose of such an application by passing a speaking order within one month. On 16.1.2002, the Marketing Committee, Khanauri, passed Resolution No. 96, wherein letter dated 27.11.2001, received from the Corporation was considered. The Corporation took the stand that on 6/7.5.2000 and 12.5.2000 there were heavy rains due to which wheat bags could not be lifted. However, rejecting the said defence, the demand of Rs. 28,43,684.50 paise was sustained by the Marketing Committee, Khanauri (P-5).